Former telephone solicitor from Bridgewater seeks legislation to shine spotlight on industry

In 2012, professional solicitors registered in Massachusetts raised $267 million in fundraising campaigns, but the charities that hired them only received 34 percent of that money, according to a report issues by the attorney general’s office.

BRIDGEWATER – A Bridgewater woman who is determined to shine a light on the telefundraising industry has taken her fight to Beacon Hill.

Pearl Cohen worked as a telefundraiser for 17 years, soliciting donations over the phone on behalf of the various charities that hired her employer.

Now, she is seeking to pull back the curtain on an industry that often leaves charities with less than 50 percent of what they raise during a fundraising campaign while donors are left in the dark.

In 2012, professional solicitors registered in Massachusetts raised $267 million in fundraising campaigns, but the charities that hired them only received 34 percent of that money, according to a report issues by the attorney general’s office.

“It’s an industry that needs a lot of overhaul,” Cohen said. “Maybe 20 percent of the money ends up with the charity on a good day.”

Often, charities can even end up owing the telefundraisers money at the end of a campaign, added Cohen.

In 2011, Cohen filed a petition with the attorney general’s office to try to get an initiative on the 2012 ballot that would have prevented telefundraisers from contacting residents on the state’s “do-not-call list.”

Although the petition failed, Cohen was able to get state Rep. Gailanne Cariddi, D-North Adams, to introduce the measure as a bill in the Legislature.

The bill currently has eight co-sponsors, including Rep. Angelo D’Emilia, R-Bridgewater, and Rep. Geoff Diehl, R-Whitman, and is sitting in the Joint Committee on Consumer Protection and Professional Licensure.

In addition to barring telefundraisers from contacting residents on the do-not-call list, the bill would also require telefundraisers, if asked, to disclose to donors what percentage of their donation will be retained by the charity.

Currently, telefundraisers are prevented by law from misleading donors but, if passed, the bill would put an affirmative statutory obligation for solicitors to disclose the percentage that goes to charity.

“Under the current law, it’s totally legal for the telefundraiser to say 100 percent of the money goes to the charity,” Cohen said. “My bill will mandate that there is clear language that will explain how much money the telefundraiser keeps.”

Telefundraisers are often allowed to tell donors that 100 percent of their money goes to charity because their contract stipulates that 100 percent of the money is given to the charity, which then pays the telefundraiser for the fundraising campaign and an assortment of other fees.

“That is what is so frustrating,” Cohen said.

Charities that conduct their own fundraising without the aid of telefundraisers would remain unaffected by the bill and would still be able to call residents on the do-not-call list.

Page 2 of 2 - However, with time in the current legislative session running out, Cohen said she is beginning to worry the bill may not be acted on before the close of the year.

“I’m concerned now that, even though it got an extension until June 3, it will still time out because of the fact all legislative matters have to be voted on by the end of July,” Cohen said.